The Dutch stock market authority AFM slapped a $179,000 (euro 130,000) fine on financial services group ING on Tuesday for issuing an “irresponsible” amount of credit to its home mortgage clients, Reuters reports.
The fine is in addition to a previous penalty imposed on ING by the AFM, which in 2009 probed the provision of mortgages by large banks in the Netherlands following the sub-prime mortgage crisis in the United States. It had also fined ABN AMRO
The AFM said it had imposed the latest levy on ING for failing to apply criteria to prevent clients taking on excessive mortgage credit.
ING’s previous fine of 30,000 euros was attributed to a failure to obtain sufficient information from customers in remortgaging and taking out life insurance.
ING said although it believes that the interests of its customers remained central to its policy and client interests were not infringed, it has decided not to appeal against the AFM fines.
“ING has adjusted its policies on every point to conform to the demands of the AFM,” it said.
